The Indian States In Process to adopt Blockchain?
Blockchain a digital ledger system where transactions made in bitcoin or other cryptocurrency are digitally recorded in chronological order publicly whenever a cryptocurrency is bought or sold. Using this sophisticated technology, individuals yield tremendous benefits.
But there are some problems the world is facing in the adoption of blockchain. But then we can see Europe leading this race of making fair use of blockchain. It is due to the presence and dominance of the private sector that holds a firm grip over institutional investors and infrastructure.
According to a report, the blockchain is bringing about a transformation, and the efforts of the public sector are in launching this. BFSI (The banking, financial services, and insurance) are the best domains that boost the usage of blockchain to 50%, as per the reports. The places where extensive usage of blockchain is done comes from the Indian public sector like medical record maintenance, land registry maintenance, etc.
Something remarkable is implemented with the help of the banking sector, by using blockchain on a large scale, and this is known as one of its kind application in Asia. It involves Yes Bank, acting as an issuing and paying agent, which played a role to induce the facilitation of a Commercial Paper amounting to hundred crores.
This task was accomplished by bringing into action the blockchain technology for the industry giant Vedanta. It shows a magnificent example of a private bank issuing a blockchain for a public limited company. The transactions are accomplished in partnership with US-based MontaGo.
The secret behind MontaGo’s success is its solution by Cords Enterprise, which is a technology provider by R3 and blockchain enterprise software firm.
Senior group president and global head- Transaction Banking Group, Yes Bank, Asit Oberoi, in praise of the eminent process which took place by making use of the blockchain technology said that this made sure that there was a considerably less turnaround time for issuance and recovery, and for obtaining permanent, trustworthy and unexploitable records of the whole process of document transactions.
As a result, it would lead to a lot of benefits and simplify the process further and hence, minimize the risk of operations, recovery process, the risk of real-time visibility of commercial paper issuance, and bounce back and for a shared network for all the participants in the CP issuance.
Oberoi, while commenting on the blockchain, says, “By working on this implementation with Vedanta, we built a more prominent framework for other customers as well for the future. Now transactions can happen within an hour irrespective of the size.
It does have a lot of data, risk management control, and complex analytics”. Looking at the many benefits that the blockchain usage has, Oberoi, explains that the fruits of this technological advancement bring about swiftness and a shift to the high process-oriented digital banking.
“We now have data analytics experts, data miners, and end-to-end engineering experts because of such technologies. It will also hold good when ‘digital banks’ start coming up,” he adds.
“We are a tech company working in the banking space, and we have to comply with a lot of guidelines in both tech and banking spaces. We are also working closely with Nasscom who can, in turn, recommend in making these guidelines which would increase the penetration rate of these technologies and help develop local talent here,” Oberoi says
Vinod Kumar, CEO, and MD, Subex, says that “Using blockchain to validate identities of those who authorize payments across the globe is a single major use case towards ensuring ‘digital trust for brands.
Most of this work is a proof of concept level today and will soon roll out when we sort out unit economics of implementing the same”.
India has come forward to make the utilization of blockchain on a large scale. There are giants like Tech Mahindra, a global commander that aces the game at providing IT solutions, digital technologies, BPO, and business-related consultancy services declaring that it had come together to join hands with the Abu Dhabi Department of Urban Planning and Municipalities (DPM).
In this venture, the implementation of next-gen technologies like Blockchain and SmartHub digital services help to serve a broader segment of citizens, enhancing customer satisfaction.
Since now that the Indian public sector is laying on the blockchain, the homegrown players can join hands and help in boosting the implementation of blockchain on a national level, rendering benefits of this technology on a large scale.